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Hong Kong iPad launch videos from Neonpunch.com

For those who missed the launch here is a nice collection of iPad videos from neonpunch.com‘s coverage of the Hong Kong iPad’s release.

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Interview with a Chinese iPad smuggler

Strange things were afoot at the Starbucks.

Two men next to us were sitting at a Starbucks table in Times Square, not a cup of coffee or even a bagel in sight. They were surrounded by stacks of paper, boxes, and empty shopping bags piled high. Next to them were several carry-on suitcases stuffed to the breaking point. And there in front of the one man was an iPhone 4.

Now if this was an airport or a train station or any other place on any other day, you’d probably think nothing of their setup. But today was iPad day in Hong Kong, and we were just about 100 feet and 1 floor up from one of the largest resellers of iPads (with the longest lines) in the entire city. Something just didn’t seem right.

Photo from neonpunch.com

One of the men looked up quickly when a gaggle of teenage girls cautiously turned the corner. They gave a quick nod over toward him and he jumped up immediately. He walked over and they handed over plastic shopping bags with large Apple logos on the side–two bags per girl, along with the receipts. In exchange each girl got $100HK (about $12 US) per bag. The girls promptly blended into the crowd of other shoppers and the man was busy stuffing boxes into his luggage. He then rolled his suitcase back to the Starbucks where it was stacked with other luggage, looking quite like a traveller ready to go on a journey.

“Dude” I whispered to my friend. “These guys are iPad smugglers.”

We had seen the mules in the line. Folks wearing masks, sunglasses and hats who were very shy when it came time for photos. People kept turning around, hiding under newspapers, even opening umbrellas to shield us from our cameras. The Bloomberg reporter told me “those kids are Triad members (Chinese mafia) who will be selling their iPads later today in Mongkok”. With that bit of warning we were both a bit hesitant to talk to the guys in the Starbucks, fearing they may be the ringleaders of some violent Ax Gang from a hard life council flat in rundown Kowloon.

“I wonder if they could get me an iPhone 4″ I thought to myself.

The man came back from the girls with eight bags filled with iPads. His partner pulled out a legal tablet and made some check marks. The page was filled with dozens of check marks. 16gb, check, 32 gb, check, 32gb 3G, check, check.

Of course, looking over to our table was probably just as confusing for the two smugglers. We were frantically busy uploading video of the iPad launch to Youtube and had two Mac laptops, a mifi, an iPhone 3G, a Sony HD Camcorder, a Canon Digital SLR and a dried out danish. They noticed us noticing them or we noticed them noticing us (I can’t remember which came first) and finally I just had to break the ice.

“Do you like the iPhone 4″ I said with a smile, sliding over to get a better look.

“Yeah, it’s great” he said with barely a hint of an accent. “The screen is great”.

So we started chatting about the phone and the screen and whatnot. He got it in China he said, but it was originally from the UK. I finally got around to the meat of the matter and said “pretty crazy day” pointing over to the reseller nearby.

“Yea, I’m going to be here for hours”

“Getting an iPad for your friends?”

“More than a few friends. I have $2 million RMB I have to spend today (about $300,000 US). My boss sent me down here and we’ve got dozens of people in line. There are five other guys in other parts of Hong Kong doing the same thing.”

“Good business I guess”.

“Yea, but it’s not our main business. We have a factory in China making (this and that). That’s our core business, it’s just this opportunity arose and the boss wanted to take advantage of it. It’s much cheaper for us to get the iPads here in Hong Kong than flying over to the USA and bringing them back.”

“Are those people in line friends of yours?”

Photo from neonpunch.com

“No, we hired a ‘hat gang’. One guy is the top hat and he goes out and recruits all the kids. We pay them $100HK per iPad, and some of the kids will go to another store later today to get in line again. Better than them doing nothing all Summer just goofing around.”

Just then a runner came down, a skinny kid in a crooked oversized baseball hat, and reported to the other man some news. After he left I returned to our conversation.

“Was that the ‘top hat’?” I asked.

“Ha,” he said. “The top hat is VERY big and watching the kids closely.” Each kid was holding essentially $10,000 HK in cash ($1,200 USA) so the top hat was to make sure the kids didn’t get any funny ideas.

“How are you going to get these into China?” where the tax rate is about 20% on imported items like this.

“Not my problem” he laughed with an expression that said ‘thank god’. “I’m to take these to a shipper in Hong Kong later today and he will deal with that. You know China–a bit of money to the right person can open up a channel” he said. “Only about 50% will go to China. The other 50% will go to folks in Hong Kong who couldn’t be bothered to wait in a line.”

“I actually have two cars down in the parking garage right now.” he said. “When the first is full it will head over and I’ll take the second one later tonight. I think I’m going to be here for five hours or so.”

“All your men are at one store. Why don’t you use the other store (which had significantly shorter lines) just around the corner”

“That store opens the box before they sell it to you, ripping the plastic and making the iPad less valuable on the resale market”.

His phone rang and he hurried to answer it. After a few words in Chinese he hung up and turned back to us.

“The order has changed. Originally it was the 16gb wifi–the cheapest one that we were supposed to focus on, but now the boss says get whatever we can. I guess it’s selling out pretty well all over Hong Kong.” He then turned to his friend who had to communicate the order back to the gang leaders and their underlings still in the line.

We got up and said our goodbyes. It was a pretty fascinating look at the process of smuggling, from the outsourcing of the lower end jobs (line sitters) to the handoff of the significant risk (the cross-border entry). With a markup of about 100% for the street price in China, this guy was going to bring in about $200,000 US in profits for just a couple days work sitting in a Starbucks.

Maybe we’ll see him again on Friday when the iPhone 4 goes on sale.

Here is the video Neonpunch.com shot showing many of the mules who were waiting in line.

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PenguinSix’s Tweets for the Week

  • @dapunster rumors say this week or next for new Mac Pro. Old inventory is being phased out. in reply to dapunster #
  • @coffeemeow how ridiculous. Zinio has a Hong Kong store option built into the app. That's just a bit silly. in reply to coffeemeow #
  • @coffeemeow did you check the Zinio app for magazines? I get quite a few there to save $ in reply to coffeemeow #
  • Wow! Wild photos. RT @CBSNews Canadian CF-18 Hornet Crashes at Air Show Practice; Pilot Ejects safely. http://bit.ly/bso5fn #
  • RT @chrisdata: Anyone who want legit Camera Kit for iPad, now quickly go TST Parklane New Vision while still have stock! #ipadhk #
  • @NissinXXX I heard a rumor that the stores got more shipments today–comparable to the original shipments, but I can't confirm. in reply to NissinXXX #
  • Anyone finding any iPads available on Saturday in Hong Kong? #ipadhk #
  • @alanho DG IFC has some maybe but only top end 32gb/3G I think. in reply to alanho #
  • @coffeemeow Flipboard is new and funky. Tweetdeck good but buggy. Twitepad written in HK. Twitterific is ok too. in reply to coffeemeow #
  • Just heard eight box of 32gb/3G ipads arrived at DG IFC about 7:30pm. Not sure stock elsewhere. #ipadhk #
  • Wonder how many new Hong Kong iPad owners are dealing with the 'first sync' delay with their new iPads? First once can take hours. #ipadhk #
  • I liked a YouTube video — Hong Kong iPad Launch in Times Square (DG Lifestyle Store) http://youtu.be/lVOlDhY_aT8?a #
  • #ipadhk 5:00pm Availability query: who has stock now? Anyone? #
  • #ipadhk — 5:00pm Availability query: who has stock now? Anyone? #
  • RT @chrisdata: SMV user beware! The iPad plan not able to view YouTube when in 3G mode, you should pick their Tablet plan instead.#iPadHK #
  • @acoolong Spray it with something–anything. Windex, Hair spray, whatever. It'll stun it long enough to catch it. in reply to acoolong #
  • #ipadhk More video of today's iPad launch coming soon at neonpunch.com #
  • @Mike_Higgins Walk around Mongkok. Computer centre or the various phone/camera joints on the street (i.e. mom and pop places). in reply to Mike_Higgins #
  • @chrisdata I would suspect much of the grey market will move their stock to the mainland in reply to chrisdata #
  • #iPadHK The line for the DG / Times Square went from the 9th floor down the stairs to the 6th floor, 30 minutes before they opened!!! #
  • @chrisdata Not sure. Thought I saw one in Windsor House but it was a 'grey' import no doubt. in reply to chrisdata #
  • #iPadHK Cutting some more video for neonpunch.com #
  • #iPadHK DG in Times Square was by far the most crazy store we visited. Broadway was the easiest, but they are pushing accessories. #
  • #iPadHK There are no (legit) iPads at any stores in Windsor House. I don't think they were given any. #
  • Huge ipad lines at DG Times Square, IFC, studio a, but no lines at broadway in times square. #
  • Huge line at DG. 500+ people with one cash register. Broadway had 100 people and 20 cash tills. Go figure #
  • About 15-20 people in line at Studio A in Causeway Bay for Hong Kong iPad launch in about an hour. #
  • Got a Patriot Missile System? There's an app for that (seriously). http://bit.ly/aCICoD #
  • I thought the Typhoon missed us. Can't see out the window with all the rain. #
  • @johnstauffer I-cable, hk broadband, hgc. Icable hooked me up four hours after I called. in reply to johnstauffer #
  • Listening to the game developer of Time Crisis: Razing Storm. For play with Sony Move device. #
  • @chrisdata September 15 they say. in reply to chrisdata #
  • Playing with ps3 and the new Move. Story to follow on neonpunch.com #
  • Hong Kong Stong Wind signal 3 is up. Wonder how bouncy this will make the Star Ferry on my way to TST. Maybe MTR today… #
  • Baidu, Tencent and Tekmobile to create Chinese 'Android-like' smartphone to keep up fight against Google. http://bit.ly/bnEsA9 #
  • Wild picture of whale jumping on a whale watching boat. http://bit.ly/9bmLZS #
  • A typhoon is throwing rain down on Hong Kong tonight and I have white noise 'raindrops' playing on my Chumby. Maybe I should unplug it. #
  • @scobleizer hypes like Hugh Hefner changes girlfriends but his praise for Flipboard and his revolutionary prediction is spot on. #
  • @mmccue @edog1203 Bravo on this app. It's as revolutionary to social media as the change from Gopher to the WWW was for the Net. #
  • Flipboard's affect on social media will be like the Internet's transition from Gopher to the World Wide Web many years ago. Revolutionary. #
  • @johnstauffer I blogged a bit about mifi in Hong Kong here: http://bit.ly/aYdld6 in reply to johnstauffer #
  • @johnstauffer mifi device was 1400 HK. I have dlink but many here use huawei device. Good for travel. Pop in pay as go data SIM wherever. #
  • @johnstauffer I bought unlocked mifi at wanchai comp centre & pay as go data plan. $200 month or $28 per day. I only use few days a month in reply to johnstauffer #
  • Flipboard free app now in iTunes app store. Holy Hell this looks great on the iPad! Download and see. Wow. #
  • @johnstauffer have you considered a mifi device? They work well here and give you wifi all over HK. in reply to johnstauffer #
  • Oops, I meant @scobleizer #
  • Flipboard, as introduced by @scoble, is the thing that could get even the crustiest of grandmas onto the social web. http://bit.ly/aBIvYS #
  • Youngest son met his Hong Kong pediatrician for the first time by puking on his reception area, his personal office, and later a taxi. Joy. #
  • I liked a YouTube video — Wheel of Fortune "Self Potato" better quality http://youtu.be/s2XymdmLQhE?a #
  • I liked a YouTube video — Tokyo Dance Trooper http://youtu.be/bygdRMCwC6s?a #
  • @thekenyeung Well I know you take a lot of pictures. :-) in reply to thekenyeung #
  • @thekenyeung This rocks: 67TB for $7,000, DIY–http://bit.ly/NnW2Q or check out low budget solutions from diynas.com in reply to thekenyeung #
  • @pdenlinger They speak Latin in Latin America, and they speak South in South America. in reply to pdenlinger #
  • @thekenyeung Drobos are sold empty, usually. It reconfigures your drives to work with the drobo, not another NAS (I think). See also QNAP in reply to thekenyeung #
  • Nigerian couple stuns geneticists by giving birth to blue-eyed, blonde haired white skinned baby girl. http://bit.ly/donVC4 #
  • @dannychoo Only if you go in thinking it is a farce / summer movie. Don't take it seriously. Will hurt your head. in reply to dannychoo #
  • Hong Kong dog-catchers under fire after video show harsh capture of two animals. http://youtu.be/pviG5qH2FqI #
  • Just checked my email. Why? Because I knew I wouldn't get a stupid 'Twitter API limit reached' message. #
  • @coffeemeow Enjoy it today. Typhoon tomorrow. in reply to coffeemeow #
  • So what's the etiquette when you suspect your cab driver has no pants on? Do you look to see or just let it go (yes, this happened today). #
  • Did a secret underground Nazi death camp factory lead to a landslide 65 years later in Germany? Many questions remain. http://bit.ly/9348xg #
  • China claims they are NOT the largest energy consumer despite IEA report to the contrary. http://bit.ly/94vi9C #
  • It's the 'annual' beer festival in Lan Kwai Fong. I just have to ask, when is it NOT a beer festival in LKF? http://yfrog.com/n4trmj #
  • @hypercasey Don't really care about full price. Just want my new toy NOW! in reply to hypercasey #
  • @hypercasey Do you think 3 or SMV will sell pay as you go, or is that just the Apple store option? No need for a contact-no one calls me :-) in reply to hypercasey #
  • Wonder if anyone has a script to query Apple store, 3HK, and Vodafone to see which one is accepting pre-orders first for the iPhone 4 #
  • This storm may actually hit Hong Kong on Thursday, well at least the outer bands. http://yfrog.com/nglz6p #
  • I liked a YouTube video — The Asteroids Galaxy Tour – Around The Bend (Official Music … http://youtu.be/yq-aNkBc2_M?a #
  • I liked a YouTube video — PUBLIC DOMAIN – Operation Blade (Bass In The Place…) http://youtu.be/xdw4d12T_fU?a #
  • I liked a YouTube video — Plane Crash St Barts Airport http://youtu.be/-z2o0acIlm4?a #
  • Japan's NTT Docomo SIM unlock policy a good example for rural America? http://bit.ly/cnYC4B #
  • The inside story of AT&T and Apple. A marriage made in hell. Wired magazine reports: http://bit.ly/dCpDEP. #
  • Anti-aircraft laser weapons now for sale to the military. Can take out a UAV with a beam of light. http://bit.ly/9CLcWJ #
  • New Apple trackpad gets FCC approval. New Macs imminent? Please? http://bit.ly/9p8Pzd #
  • iPad out in Hong Kong on Friday. That means I have 3 more days to walk around using mine to score more geek cred before it gets 'popular'. #
  • The mental & emotional toll on web content reviewers. Seeing the dark side of the Youtube, every hour, every day. http://nyti.ms/c7s9xm #
  • I subscribed to tokyostormtrooper's channel on YouTube. http://www.youtube.com/user/tokyostormtrooper?feature=autoshare #
  • Washington Post "outs" hundreds of top secret government contractors by using open source research. http://bit.ly/bvUGD4 #
  • Ummm…when did it become 4:00pm? I think I should go have lunch. Still playing with iMovie. #
  • This one might actually hit us. RT @JayOatway: RT @stoutyhk: #HongKong – New tropical storm on the way: http://bit.ly/aA0w5l #
  • Internet TV exploding in China, often as escape from state-run TV. Dwarfs the IPTV usage in the USA and still growing http://nyti.ms/b2h6h9 #
  • RT @Scobleizer: One little-known trivia. One of the key techies at Nasa working on @openstack is Steve Wozniak's son, Jesse. #
  • Chinese censors go after reality tv show after money-worshipping contestant comes across as too real. http://nyti.ms/bEwQPE #
  • @chpapa @jonbuford Healthy 'enough'. Ebay's code lost $10-$100 million early on, but was health enough v. billions in profits. in reply to chpapa #

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Random Hong Kong harbor videos

Had my video cam with me the other day playing tourist. Here’s some video from the Star Ferry.

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Spending the afternoon being surrounded by hot models

Yea, just another day in the life…

Actually I was helping a friend by videotaping the launch of the AR Drone / iPhone helicopter project. We headed over to TST where they had a press conference with quite a few models and Hong Kong celebrities in tow. I spent most of my time behind the camera, and most of the weekend is now being spent hacking it together (with varying degrees of success). iMovie is quite a headache when dealing with HD video.

Here’s a snippet. More to come from neonpunch.com.

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Private Thomas D. Costello, laid to rest in Arlington after 91 years in the French countryside

Interesting story in today’s Washington Post about a World War I doughboy who was fell in action but was listed as MIA for the last nine decades. Private Thomas D. Costello of New York City was killed in action in France near a place called Bois de Bonvaux. His remains were located by a private MIA foundation who searches in France for the missing. As chance would have it, when they found the remains there was an official US government MIA team in the area looking for a missing in action soldier from a World War II tank engagement, so they were able to bring their high tech sensors and skills into recovering Private Costello.

His descendants attended the funeral, though they did not even know the story of him being missing. Said his relative (Frisbie):

…had no idea he was a relative until he was contacted about two years ago by a Pentagon genealogist, said he believes that Costello was his great-great uncle. But the distance of the connection “doesn’t matter,” Frisbie said. “He’s a fallen soldier, and if I can honor him, that’s great.”

The French embassy also sent their military attache to attend the funeral and say thank you on behalf of the French people. You can see the video below.

The US spends nearly $105 million a year on finding missing troops. The CNN article on this story also has some interesting quotes from the family.

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Last Flight from Da Nang — video of the most powerful piece of television news ever filmed.

For many of us post baby-boomers, this event in the 1970s was when we were just starting to watch TV news and trying to realize what was going on.  The Last Flight from Da Nang set the standard for television reports and was an inspiration for hundreds of aspiring journalists.

If you haven’t seen it, you should. Let me see if I can embed it here (CBS News has a weird system).


Watch CBS News Videos Online

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Smallest USB drive, that I own

USB drives to me are kind of silly. I have been living in the cloud when it comes to data for a number of years now and regard USB keys as sort of a throwback to the era of ‘physical media’ when you had to burn something to a disk to transfer it from one party to another. However, due to some business demands, I’ve recently had to go USB drive shopping to pass along about 10 gb of data (that could and should be done server-to-server but that’s another story).

So I went down to Wanchai today to look at drives. I managed to find this little 16gb TDK drive buried in the depths of the computer center. I originally wanted a 32gb drive but then priced out two of these 16gb drives at less than the cost of one 32gb drive. The guys I bought from, who have cut me 10-15% discounts on other items before were able to offer me a wopping $3HK discount per each drive (which is about $0.36 US). Oh well.

Anyway, take a look at this next to some random items on my desk. The drive is currently being loaded with a number of database files and other documents for a pending transfer in the next 48 hours (provided my contact meets up on time). Too bad it’s not shaped like a button or a cufflink–that would give the whole transfer a modicum of coolness a la James Bond.

Not sold in the US just yet but available throughout Hong Kong and Japan.

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Fists and bicycle wheels fly in Tour de France bustup

Not sure WTF this is all about but kind of funny. Battle royale in the Tour de France.

hat tip: Tortue

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Buying a Chumby or Sony Dash in Hong Kong = No Joy

You would think that a place like Hong Kong, which is only miles from the gadget factories in Shenzhen and benefiting greatly from a massive demand for consumer appliances and essentially no customs duties on imports, would have the latest and greatest devices from around the world easily available at the various Computer (grey) markets around town. But yesterday I plodded through one of them with stares of disbelief and wonder, and not just because I was speaking English and showing them pictures on my iPad.

The Chumby and the Sony Dash (which has the guts of a Chumby inside) are two Internet appliances that I couldn’t find in Hong Kong.  Both are in heavy use in the US, with the Chumby being out for several YEARS now.  Chumby is now expanding into multiple devices.   But try as I might, I couldn’t find one in Hong Kong.


Part of the reason might be usage–most people in Hong Kong are on mobile devices and the thought of a stand alone, sit at home (in your small house) Internet appliance isn’t that appealing.  I’ll confess that after having my iPhone next to my bed for a few weeks, I rarely used my Chumby for anything besides an alarm clock.

But now that I’m stuck with no iPhone pending the release of the iPhone 4 and no FM radio since we left all of those back in the States, I’m in the market for another Internet device to help soothe my younger son to sleep every night with classical music from Venice, Italy (a station we use because they have no annoying commercials).  Unfortunately, these were two gadgets I just couldn’t find anywhere despite looking pretty hard.

Perhaps there’s a business opportunity here…hmmm…


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Why some of the HTC/Android features mean absolute nothing to most users.

This is an iPhone lovers response to the HTC ad that got a Best Buy employee fired. Sums up a lot of what I feel when I hear some decidedly non-techies prattle on about development platforms and how it makes their phone so much better.

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The barrio Saint–a Priest with salty language trying to connect to Mexican gang members.

Interesting story in the NY Times today about a priest trying to make inroads in the gang community in Mexico City. It’s a rough task, preaching to those who have faced life and death and the harsh reality of the barrio on a daily basis. It’s probably not an easier as many of these kids are addicted to sniffing glue, literally walking into the church with glue in their hands and sniffing away.

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Video of the Rangers baseball fan falling from the upper deck

No, you don’t get to see the actual fall–thank god. And I hope they don’t actually show it because it isn’t something I’d want to see.

But the reactions of the players and fans to this tragedy that happened in Texas is pretty frightening.

FWIW, he got the ball. Another fan caught it and gave it to an usher. The usher passed it along to the team and they signed it before presenting it and other goodies in the hospital to the recovering fan.

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